Possible Wolf Creek tenant likely backing out of negotiations

The “Marketplace” sign is gone from the former Wolf Creek Marketplace building in Basehor, as is the rest of the equipment that was once inside. A group has shown interest in opening another retail store in the building, and city administrator Mark Loughry said at Monday’s Basehor City Council work session that tax incentives from the city might help close the deal.

A potential tenant of the former Wolf Creek Marketplace building in Basehor has backed away from negotiations, city administrator Mark Loughry said Monday.

In a report to city council members during the council’s meeting, Loughry said that First National Bank of Olathe, the property’s owner, had not been able to agree with the interested group on a purchase price for the property.

“They said they’re just too far apart,” Loughry said.

The potential tenant, he said, had offered about $1.8 million for the property, but the bank had asked for about $1 million more.

“Even with the best-case scenario of incentives that we could offer,” Loughry said, “we wouldn’t be able to make up a million-dollar difference.”

At the time the bank took control of the property, the outstanding debt on it was about $6.5 million, he said, and the bank is now asking for less than half of that amount from potential occupants.

Also during Monday’s council meeting, the council:

• Approved, 4-0, a refund of excise taxes charged to Consolidated Water District No. 1 for the construction of its new water tower, about $3,900. The refund is contingent on the completion of a painted message chosen by the city for the tower, which is between 155th and 158th Streets north of U.S. Highway 24-40.

The paint scheme, also approved, 4-0, by the council, is to include the words “Welcome to Basehor” facing toward the highway, along with Basehor-Linwood High School’s Bobcat logo. Basehor-Linwood school district superintendent David Howard requested at the council work session earlier this month that the tower include the Bobcat.

• Approved, 4-0, city ordinance No. 584, which repealed an earlier ordinance that set an upsize fee for the Pinehurst sewer lift station.

• Approved, 4-0, ordinance No. 586, which establishes a lower sewer rate for commercial businesses that generate city sales taxes. The rate is $7.30 per 1,000 gallons, compared with a rate of $10.61. The rate is to increase by 2.5 percent each year.

The ordinance was in response to a request from the owners of Spots Off car wash in Basehor. The owners said last month that the sewer rate was too high for the business to stay afloat.

• Approved, 4-0, ordinance No. 588, which requires businesses to show proof of sales taxes paid to the state in order to get a business license from the city.

• Approved, 4-0, a resolution supporting the city staff in submitting an application for the federal Safe Routes to School Program, which provides funds to construct sidewalks and paths that make it easier for children to walk to school.

• Approved, 4-0, the renewal of the city’s property and liability insurance with EMC Underwriters.

• Chose, 4-0, three firms to submit bids for the engineering and design of a possible extension of Wolf Creek Parkway with assistance from the Kansas Department of Transportation. The firms are BHC Rhodes, Professional Engineering Consultants and Affinis.

• Accepted, 4-0, a bid from O’Donnell and Sons for the city’s 2011 Pavement Management Program. The bid was just short of $150,000, but the city will use the full $175,000 budgeted for the program, using the additional funds for further road improvements beyond those in the bid.